How do you set up a journalizing transaction for rumination received 2400 for November phone services from Enrico Company?

Answer 1

To journalize the transaction for receiving $2,400 from Enrico Company for November phone services, you would debit the Cash account for $2,400, reflecting the increase in cash received. At the same time, you would credit the Service Revenue account for $2,400, indicating the revenue earned for providing phone services. The journal entry would look like this:

• Debit: Cash $2,400
• Credit: Service Revenue $2,400